I'm an associate editor at Forbes, part of the team responsible for our signature issues: The Forbes 400, Global Billionaires and America's Richest Families. As a writer, I cover these wealthy business builders as well as other entrepreneurs. Before Forbes, I also reported on entrepreneurs for Inc. magazine and attended Syracuse University's S.I. Newhouse School of Public Communications.

Even The Pope Believes We Need Stronger Financial Regulation And Reform

You may add the Holy Father as the latest outspoken advocate for reforming and strengthening regulations in the world’s capital markets.

Pope Benedict XVI, dressed in flowing white robes and speaking from a 17th century altar—a tall, gilded canopy that sits above the ancient grave of St. Peter—decried what he sees as a manipulation of the world’s poor. “The world is sadly marked by hotbeds of tension and conflict caused by growing instances of inequality between rich and poor,” the pope said, “by the prevalence of a selfish and individualistic mindset which also finds expression in an unregulated financial capitalism.”

The remarks came in the pope’s New Year’s Eve Mass, in which the 85-year-old pontiff implored congregants to opt for peace in the upcoming year. ”A new year is like a trip. With the light and the grace of God, may it be the start of a path to peace for every person, every family, every country and for the entire world,” Benedict XVI said after the homily, from a window overlooking St. Peter’s Square.

So, the pope joins a list of other influential world leaders who support increased financial oversight. If you consider the year we just had, it’s not too great a surprise that the leader of the world’s 1.2 billion Roman Catholics made this comment. 2012 brought a 12-month span in which major banks like UBS and Barclays admitted to manipulating key interests rates that dictate the prices of many prosaic financial items, and HSBC admitted to laundering the money of drug kingpins and despots. And we’re not even a decade removed from the financial crisis, where it seemed that institutions of all stripes piled into the sale and securitization of faulty mortgages—the SEC has investigated a number businesses, from Goldman Sachs to Bank of America.

First the SEC, and now the Holy See would like the world’s bankers to behave better.

Post Your Comment

Post Your Reply

Forbes writers have the ability to call out member comments they find particularly interesting. Called-out comments are highlighted across the Forbes network. You'll be notified if your comment is called out.

Would that also mean the Pope is inclined to have the Bank of the Vatican reviewed under these new regulations. As there are much more inconsistencies to find there then by all the other banks together. I do agree there should be new regulations for financial institutions and governments. And maybe more important there should be enforcement of such regulations, as making regulations without an assigned regulator is still the same sauce as we have now. There most organizations operate on a multinational level and there the biggest vacuum is on legislation there should be an supranational regulator and this at least at region level and a regular global overview for multiregional organizations

The Pope makes many pronouncements from his balcony. Most are banal and obvious – “Stop fighting in Syria”; some are bigoted – “Gays are unnatural”. But the “Don’t be greedy” plea, wheeled out from time to time, is slightly hypocritical. Vatican accounts are closed to public scrutiny, yet many people feel the negative effect of their economic clout: Ask any rival business in Rome, competing with tax-free Vatican enterprises.

Almost every christmas the heads of the churches usually have something to say about rampant capitalism – they may have been on to something ?? Materialism / greed and love of money were often critisized by spiritual figures because of the inequality that it maintained – there are many poor people struggling even though their is supposed prosperity – the question is – WHY. The US is now in 16 Trillion dollars of debt – because – thats the only way it could mainatin itself – and a massive military. Thats because financial markets were originally built to fund governments – to fund their militaries – and the growing populations swelled – overpopulation is surely one reason for this – as is the reliance on Growth – it needs more and more – like a hungry beast – thus the poulations swell – more and more is needed to support the empire – like rome in its last days – sustainablitiy is often overlooked in favour of bigger is better. The United States is now having to deal with this – having to deal with massive debts – having lived on credit since the second world war ….

Funny how the group that leans so left it looks like a mass planking, suddenly hold the Pope’s opinion has having merit when He agrees with them. All that past criticism of the Catholic church was just a silly misunderstanding? Liberals, progressives, occupy this or that imbeciles,etc., are so shameless. Capitalism is good. The reason that it has gotten a bad name is because of a shortageof decent humans. Thanks to the left, our culture has degenerated. The cause can be traced directly to their promotion of unearned self-esteem, moral relativity, the replacement of critical thinking for instant gratification and tolerance for any behavior except the devout. who needs future consequences? A generation of spoiled brats is reflected by both business owners and labor. The left must carry their burden of guilt as well. What’s worse, greed or envy?I bet the Pope would know.

These people you criticize— they weren’t dropped off by storks! Someone raised them, no?! What made them so disillusioned and so utterly lacking in scruples that they’d steal other people’s lunch money in the school yard?!

Mmm – Why do 10% own 90% of everything ? Unequal ? – The baby boomers own 80% of everything – this is the story of capitalism that does not live withing its means (GFC – eurozone soveriegn debt – 16 trillion dollars debt in the US – Living within ones means thinks about sustainability – not trying to go beyond what the system will support – the carrying capacity….the third world should redistribute wealth with a basic welfare system as in the west…